HONG KONG -- A group of Hong Kong-based retail investors who own 2% of HSBC Holdings' shares are demanding a scrip dividend in place of the cash distribution that was canceled by the bank for the first time in 74 years under pressure from U.K. regulators, and are threatening to mobilize to force a special shareholders' meeting.
The group that has rallied on Facebook under the name HSBC Shareholders Alliance has more than 4,000 members and is hopeful of roping in investors who own a total of at least 5% of the company's shares to meet the minimum threshold for an extraordinary general meeting. Retail investors in Hong Kong overall own a third of the shares of the London-headquartered bank, which receives half of its revenue and almost all of its profits from Asia.
